The oil price is rising again. In mid-July, the instrument reached a strong support level at 66.30, which was the lower border of the upward channel, after which the growth resumed. The main catalyst for the movement was the fall in the exchange rate of the US currency and the decrease in the number of active oil rigs in the United States.
Today, the traders are focused on data on the growth rate of the American economy. In case of significant acceleration, the dollar can receive substantial support. However, if the GDP is below current forecasts, the upward impulse of "black gold" may continue to reach the level of 73.80 in the short term. Further, the price will not go right away, first, the movement within the broad side channel is expected, reaching the level and testing new highs.
Support and resistance
Technically, the pair stays within the upward range. The indicators confirm the growth forecast, MACD keeps high volumes of long positions, Bollinger bands are directed upwards.
Resistance levels: 68.00, 68.75, 70.70, 72.70, 73.80, 74.30.
Support levels: 67.00, 66.30, 65.75, 64.10, 63.30, 61.75.
It is relevant to increase the volume of long positions from the current level with the targets at 72.70, 73.80 and stop loss 65.20.
WTI Crude Oil
|Take Profit||72.70, 73.80|
|Support levels||61.75, 63.30, 64.10, 65.75, 66.30, 67.00, 68.00, 68.75, 70.70, 72.70, 73.80, 74.30|
The material published on this page is produced by the Claws&Horns Company and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC; furthermore it has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.